Cursor tries to switch workspace and gets stuck there

Where does the bug appear (feature/product)?

Cursor IDE

Describe the Bug

When using a parent folder as the workspace that contains two separate repositories as subfolders (LLMNL and LLMNL-Evolution), the AI assistant attempts to switch the workspace root into one of those repos. The UI then gets stuck on “Switching workspace root” and shows multiple persistent “Preparing migration…” notifications that never finish. The turn does not complete, blocking normal Composer/Agent use in this layout.

Steps to Reproduce

Open Cursor and set the workspace to a parent directory that contains two git repositories as subfolders, e.g. LLMNL and LLMNL-Evolution (siblings under the same parent).
Start Composer or Chat and send a request that causes the agent to adopt or switch the workspace root into LLMNL or LLMNL-Evolution (nested repo), instead of staying at the parent folder.
Observe the status line “Switching workspace root” (e.g. toward LLMNL or LLMNL-Evolution).
Notice duplicate “Preparing migration…” toasts in the bottom-right that do not dismiss.
Result: The workspace switch / migration never completes; the session appears hung.

Expected Behavior

Switching the active workspace root into a nested repo folder should complete quickly or surface a clear, recoverable error. Migration UI should show at most one progress indicator and clear when finished. The agent should not hang indefinitely on “Switching workspace root” when working from a parent workspace that contains multiple repos below it.

Screenshots / Screen Recordings

Operating System

Windows 10/11

Version Information

Version: 2.7.0-pre.177.patch.0 (user setup)
VSCode Version: 1.105.1
Commit: 6f2d8c84cbe9db9bb5ebb53a2aee4c0110851b50
Date: 2026-04-01T16:48:21.497Z
Layout: glass
Build Type: Stable
Release Track: Nightly
Electron: 39.8.1
Chromium: 142.0.7444.265
Node.js: 22.22.1
V8: 14.2.231.22-electron.0
OS: Windows_NT x64 10.0.26200

Does this stop you from using Cursor

Yes - Cursor is unusable

Hey, thanks for the detailed report with the screenshot and steps.

This is a known issue with the Glass layout. Workspace migration can freeze when the agent tries to switch the root to one of the nested repos. The team is aware and there’s already a high-priority ticket, but we don’t have an exact ETA for a fix yet.

As a workaround, try opening the repo you need (LLMNL or LLMNL-Evolution) directly as the workspace, not the parent folder. This should avoid the agent needing to switch roots and bypass the freeze.

Let me know if the workaround helps.

Yeah I can’t since they are front and backend of the same project, so I’m going back to standard layout for now, thank you.